The insurance industry has been slow in adapting to the new economy. Companies like Uber and Airbnb challenge the traditional delineations in insurance: personal vs. business use.
Personal insurance is designed to cover non-commercial use. If you, your friends and family are the only ones using your property, the risk is lower than if a bunch of strangers come and go. If you’re driving your car alone, the risk is lower than if you’re transporting a passenger. As a result, personal lines are cheaper.
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